U.S. Senate Rejects Trump’s Tariffs: What Does It Mean for the Economy?

• Senate Rejects Trump’s Tariffs Repeal
• U.S. GDP Falls 0.3%
• Trump Blames Biden for Decline

The United States Senate rejected a bipartisan bill on Wednesday aimed at overturning the global tariffs imposed earlier this month by President Donald Trump.

The vote ended in a 49–49 tie.

Three Republican senators—Rand Paul of Kentucky, Susan Collins of Maine, and Lisa Murkowski of Alaska—joined Democrats in supporting the bill.

The proposal sought to end the national emergency declared by Trump to implement the tariffs.

Trump’s Tariffs: Senate Rejects Legislation

Senate Republicans rejected a Democratic resolution that would have blocked the global tariffs announced by President Donald Trump earlier this month.
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However, the White House warned that it intended to veto any attempt to revoke the measure.

Despite support from a few moderate Republicans, the bill would not have succeeded in reversing the president’s trade war.

The White House made it clear that any effort to nullify the tariffs would be rejected.

The bill’s rejection highlights growing dissatisfaction in both parties with Trump’s economic policy.

The trade war driven by his tariffs has negatively affected the U.S. economy.

The country’s Gross Domestic Product (GDP) shrank by 0.3% in the first quarter of 2025—the first quarterly decline since 2022.

This figure underscores the economic consequences of Trump’s trade policies.

On the same day Trump announced the tariffs, the Senate passed a resolution attempting to freeze certain levies already imposed on Canada.

GDP Affected by Rising Imports

However, the measure failed to produce the intended outcome.

According to the Bureau of Economic Analysis (BEA), the GDP contraction was driven by a rise in imports and a reduction in government spending.

Despite that, consumer spending grew by 1.8% in the first quarter of the year, though at a slower pace than in the previous six months.

The impact of Trump’s trade war remains uncertain. Analysts had expected a 0.4% growth in the initial GDP estimate, but expectations quickly shifted as data emerged.

Meanwhile, President Trump blamed his predecessor, Joe Biden, for the economic slowdown and denied that his tariff policies had any role in the GDP contraction.

Uncertainty over the trade war persists, and the economic outlook for the United States remains unclear.

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Source: EFE